All Forum Posts by: Jay Hinrichs

@Daniel Morgan 

  I bought a property over 20 years ago in Northern CA. Sonoma county.. Well after a 15 year fight they just built the largest Indian casino I Northern CA right across the street from me.. I have 4 acres and the city is rezoning it to mixed use resi commercial.. so like commercial on the bottom condo's on the upper stories.

If it was red hot I would have had unsolicited offers to buy my property but as of now just one inquiry.  So not really sure what to think of REsidental.. And in this town there is a huge shortage of housing but then again I think the employee's come from all over the county.

Kind of like when Toyota built their huge facility half way from Memphis and Tupelo.. all workers need to drive 30 minutes plus to work... Its what makes RE so fun... Did you choose correctly and what will happen.. will you get caught up in the wave or not.

My little 4 acres if it gets hot will be a multi million dollar property I bought in 92 for under 30k.. But it never cash flowed a day in its life.. Just sits there bare land growing tumble weeds  

@Mike Perrotti 

  given your location I would think you could find many areas that would work fairly close to were you live... And or if you want to dual purpose like maybe buy a rental that you could one day use for getting out of the NE winters FlA  SC coast all have some nice choice's FLA has some pretty hot bargains these days.. SC a little more money but a little more culture. And of course you have a choice of Turnkey or DIY  that all depends on your time and skill levels. Lots of options that's for sure.

 @Andrew Syrios 

Much like when I came to Oregon in the early 90's by then Bay Area homes were already 500k plus.. you could roll into Salem and buy nice rentals for 35 to 50k that rented for 500 a month.. I had a friend in the Bay Area who told me to buy every one I could get.. of course I bought none.. And well those homes are 100 to 200k today. Oregon's land use policies make for a different kind of market though so hard to compare to mid west markets. Being a west coast investor stepping to the mid west it certainly can be done and done well I know many that have done it over the years. And at the price points its not too hard to go large there were building a 20 to 100 SFR rental portfolio on the West coast takes some HUGE money to pull off

@Chad Clanton 

  I grew up with a father that was in Glen Garry Glen Ross.. Not actually the movie but started selling RE for Boise cascade in the early 60's.. just like the movie.

He would go to the sales meeting and the manager would HAND OUT  TWO leads just like the movie and you had to produce.. Well my dad he decides this is no where enough leads to do really well. And he goes and buys a printing press and after school in the garage guess who ran it.. He would have me make up 20 to 30k door hangers with his name and return address on the LEADS.. Then come the weekend he would grab me my brother and about 4 of our friends and we got 1 penny  a lead passing them out in neighborhoods he wanted to work.. Now today you probably would not let 9 year olds walk around neighborhoods at 7 and 8 am on a Sat. But we would put out 10k in a day.. My dad would get 40 to a hundred leads back in the mail.. My mom would call and make the appointment for the Sits and within a year he was the number one sales men... And off he went Circa 1964.

So if your farming an area you may want to just go find the local wino's or homeless at the homeless shelters and for 10 or 20 bucks they will walk almost all day long passing out your I wanna buy your home flyers. Must cheaper than postage. 

That's what I did all through high school... I had not thought of those days in some years until I read your post.

@Steve Babiak 

  which created all sorts of issues with foreclosure sales and the legality of same..

@Nat C. 

  PS Nat you seem to run into all sorts of problems with your US purchases.. Did I help you on one in Arizona are you from Austrialia  /?

@Nat C. 

  as long as you hit your dates in your purchase and sale contract you are due your money back.. In many states title companies will not release EM unless both parties sign cancellation agreements.. This is why for instance in our state. A BANK or lender will not fund the Loan ( acutally send money to title co. ) until they have recording numbers. Because if they put money into escrow and if for some reason buyer backs out prior to recording the money is tied up.

What happens in your case is YOUR AGENT should be telling you HEY the seller won't sign cancellation docs.. You then make a demand that they do it.. Since this is well past small claims if they won't sign cancellation docs you need to force the Title company to Interplead the funds to the court. Title company wants nothing to do with this squabble money goes to the court ... you are then in a mini court case judge rules on your contract and you either get your money back minus attornies fee's or the judge may think you were too late with your rejecting the Due diligence Items and rules to give the seller the funds.

@Allen Denham 

  the state has nothing to do with this its a civil matter. I suppose if both buyer and seller died then maybe the funds would go to the state as unclaimed funds. but that's about it.

I am pretty sure I am right.. AS a HML I never send my loan funds to escrow until I know ALL parties have signed.. I know this creates issues in wet closing states but I have my rules and I don't want my funds held hostage.

@Lisa Fondant 

  plenty on the internet including his rebuttal video and pictures of his students holding up 8700 and 10,000 jumbo checks...

@Jason Gutierrez 

if you use 50% of gross rents as you overhead burden that will back you into a net number to use to calculate annual % return. If you do better great but its a great back of napkin way of determining if a market or property are even in the running. You may want to think about 2 to 4 units given were rates are... AS long as your not buying real low end. returns on a cash flow basis tend to be a little better on these than SFR's

@Bill Gulley 

 Referrals are a part of the business.. really depends on the person.. Some do not want to be used as referrals others do not mind....

Although in my world a 12% return is not going to get people flocking to you like your some kind of Guru  that's a very very pedestrian return vis a vi someone who is in the business and makes a living moving RE